Income Inequality and Residential Carbon Emissions in the United States: A Preliminary Analysis

Abstract

The authors investigate the relationship between U.S. state-level residential carbon emissions and income inequality for the 1990-2012 period. Results of the analysis indicate a positive association between emissions and income inequality-measured as the Theil index-and these findings hold across a variety of model estimation techniques and net of the effects of other established human drivers of emissions. The authors conclude by underscoring the need for more research on the effects of income inequality on carbon emissions and other related environmental outcomes.